China EV Sales Up Nearly 300%, May Lift Tesla, Kandi

In the first 10 months of this year, sales of electric vehicles in China jumped 290% to 171,145, and the country could overtake the U.S. as the world's top EV market, potentially good news for Tesla Motors (TSLA) and Kandi Technologies Group (KNDI).

The state-controlled news agency Xinhua said Sunday that sales of EVs are estimated this year at 220,000-250,000, while 180,000 EVs will be sold in the U.S. in 2015, according to Reuters.

China is already the world's biggest market for standard gasoline-engine autos, and Beijing has offered incentives, including subsidies and tax breaks, to EV makers and consumers as part of a broad campaign to cut air pollution.

Tesla began taking orders in China in August 2013 and has built charging stations at China Unicom (CHU) retail sites with free charging for Tesla customers. BMW has also built charging stations in China.

Kandi Technologies, a Chinese maker of EVs, has a license to produce luxury EVs and is expected to become a rival to Tesla and others at some point.

In November, a Kandi-Geely Automobile joint venture obtained approval from Chinese tax officials for the Kandi Cyclone, which the company describes as a "sleek, modern," five-door, four-seat EV.

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